We all run into financial emergencies from time to time. Whether it is an unexpected medical expense, a problem with your car or you just didn't plan your finances wisely for the month, small loans can help you get back on your feet. No matter what financial needs may arise for you in a given month, taking out a loan can help you and your bills stay current. If you don't pay your bills on time then we all know what happens next: You start getting those annoying phone calls at all hours from those pesky collections agencies.

When looking at taking out small loans, it is always important to keep in mind how much you can afford to pay back. The purpose of a small loan is not to cause you more financial trouble in the long run, but more to help you get your finances back in order. If you know you can be responsible and only take out the exact amount you need, then getting a loan is definitely ideal for you. Sure, it is important to take care of your financial responsibilities, but don't take out a loan if you can't pay it back in the timeframe the lender gives you.

Sometimes it is appealing to use a credit card when you get into a financial bind. If you have to go to the doctor unexpectedly and need to pay for your services or medications, it is so tempting to pull out the plastic and just charge it. However, if you do this every single time a little unexpected bill pops up, it will add up and so will your finance charges. If you must use a credit card to cover expenses, then get a loan to pay off that balance. In this way, small loans can help you with any credit card debt you may have as well.

Of course, not all small loans are created equal. When trying to decide which lender to go with, remember to do your research. Some loans may have higher interest rates than others or have a shorter repay period. Always go for the loan that suits your financial needs best. Keep in mind though that usually the longer the repay period, the more you will pay in interest. Go in armed with knowledge about loans and the process will go a lot smoother - for you and for the lender.